Coronavirus: It’s possible to save over £200 a month – expert advises what to do with it
Coronavirus has forced many people into furlough agreements where only 80 percent of pay will be received. Others may have lost their jobs entirely. Thankfully, thanks to modern technology, many people will simply be able to work from home.
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While this presents challenges of its own it is still likely to be a favourable option.
It is predicted by some that as more people work from home their electricity bills may climb as people use their home computers and laptops more.
However, with so many businesses and services closed there may actually be an opportunity to save a lot of money in this current period.
While many people may miss their trips to the cinema or a restaurant, they may not miss extortionate train tickets or petrol bills.
While the amount saved from person to person will vary drastically it is possible to analyse an averaged figure.
The financial services firm “The Share Centre” recently completed some consumer research on this, examining how much money the average adult in the UK can save as a result of the lockdown.
According to their research, the average adult could save up to £229 per month during this strange time.
The research went on to break down how this works out.
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Adults in the UK can expect to spend £70 a month on dining out and £68 on evenings out to pubs and clubs.
Gyms, a notoriously expensive bill, costs people around £41 a month.
General entertainment outside the family home, which can include theatre or cinema visits, can be as high as £50.
This all adds up, according to the latest figures from the ONS, median weekly warnings for full-time employees in the UK reached £585 in April 2019.
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This means that these costs could take up nearly 10 percent of a person’s monthly income.
Some people may be pleasantly surprised with their new disposable income, but they should avoid the temptation to react impulsively.
Lucinda Gregory, an Investment Research and Guidance Manager for the firm commented on this: “No-one’s a winner in the coronavirus crisis, with many facing significant financial uncertainty as a result of the outbreak.
“While we await the return to normal life, one small positive we can take from the situation is the reduction in spending many of will be set to make as a result of the lockdown.
“Many will choose to put these monthly savings towards helping with the monthly bills and essentials, but for those that find themselves with money still spare at the end of the month it’s worth making the most of it.
“I would recommend resisting unnecessary online shopping during this period and instead use the lockdown as a savings opportunity.
“Set a saving target based on how much you’d be spending in usual circumstances then once normality resumes, you’re one step closer to reaching your financial goals.”
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